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Congresswoman Maxine Waters raised concerns over Meta’s recent trademark filings related to crypto, seeking clarification on the company’s plans in web3.
Rep. Maxine Waters (D-Calif.) sent a letter to Meta executives, seeking answers about Meta’s apparent intention to expand its involvement in the crypto ecosystem.
Waters, who serves as the top Democrat on the House Financial Services Committee, conveyed her concerns through a letter addressed to Meta’s top executives, including CEO Mark Zuckerberg and COO Javier Olivan. The letter delves into inquiries about Meta’s strategic direction in web3 and explores its stance on stablecoin initiatives following Meta’s submission of five trademark applications related to crypto and blockchain products with the U.S. Patent and Trademark Office.
“With its initial filings on Mar. 18, 2022, Meta’s application submissions as of Jan. 22 appear to represent a continued intention to expand the company’s involvement in the digital assets ecosystem.”
Rep. Maxine Waters
As of press time, Meta has not issued any public statements on the matter. The company’s current involvement, if any, in crypto-related projects also remains uncertain. However, Waters seeks clarification on these matters, emphasizing Meta staff’s statement to U.S. authorities in October 2023, where they asserted that there was no ongoing crypto-related work at Meta.
“Additionally, Meta staff asserted that Meta is not working with any partners on integrating stablecoins or cryptocurrency into any payments or Metaverse products, and is not pursuing research and development in the space.”
Rep. Maxine Waters
Waters addressed lingering concerns about Meta’s plans regarding crypto, saying the House Financial Services Committee previously expressed its concerns regarding Facebook‘s potential creation of a cryptocurrency.
Facebook first announced its plans to develop a cryptocurrency called Libra as well as a digital wallet dubbed Calibra in June 2019. In response to that initiative, Waters noted that Facebook “has data on billions of people and has repeatedly shown a disregard for the protection and careful use of this data,” adding that “regulators should see this as a wake-up call to get serious about the privacy and national security concerns […].”
However, the Libra project, later rebranded as Diem, was shut down in 2022 by the Diem Association following congressional hearings, regulatory scrutiny, and departures of key members. The Diem Association later sold its assets for approximately $200 million to the now-defunct lender Silvergate Bank, citing challenges in moving forward due to feedback from federal regulators.